In a large pot, heat oil to sizzling stage. While oil is heating, cut beef into one inch cubes. Brown beef on all sides, working in batches to not crowd the beef causing it to steam. When beef is all done, set aside, and chop onion and garlic. Add onion and garlic to pot and cook for about one minute or so, just till they start releasing their flavor. Add beef back to pot along with any juices that have collected on plate. Add the tomatoes with their juice and the water. Bring to a boil, then reduce to a simmer. Chop the chile, removing seeds and membrane unless you want the stew to be hot. Simmer covered for about two hours, stirring once in a while to avoid burning or sticking. The beef should be juicy but falling apart tender. Serve hot.